California Assembly Bill AB2528 Amended / Bill

 BILL NUMBER: AB 2528AMENDED BILL TEXT AMENDED IN ASSEMBLY MARCH 29, 2012 INTRODUCED BY Assembly Member John A. Prez FEBRUARY 24, 2012 An act  to add Section 2923.4 to the Civil Code,  relating to mortgages. LEGISLATIVE COUNSEL'S DIGEST AB 2528, as amended, John A. Prez. Mortgages and deeds of trust: foreclosure: military members. Existing law regulates various aspects of mortgages and deeds of trust, including, among other things, foreclosure procedures applicable when a borrower is in default on one of those instruments.  Existing law requires that, upon a breach of the obligation of a mortgage or transfer of an interest in property, the trustee, mortgagee, or beneficiary record a notice of default in the office of the county recorder where the mortgaged or trust property is situated and mail the notice of default to the mortgagor or trustor.  This bill would  express the intent of the Legislature to enact legislation to preclude foreclosure proceedings when the borrower is an active member of the military, unless the lender has first attempted a loan modification   require that in order for a notice of default to be recorded, it include a declaration stating that the mortgagee, trustee, or authorized agent contacted the borrower to determine if the borrower is an active duty servicemember, and if the borrower is an active duty servicemember, or was an active duty servicemember 90 days prior to the date the notice of default is to be recorded, that the mortgagee, trustee, or authorized agent has complied with the federal Servicemembers Civil Relief Act  . Vote: majority. Appropriation: no. Fiscal committee: no. State-mandated local program: no. THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:  SECTION 1   .   Section 2923.4 is added to the   Civil Code   , to read:   2923.4. A notice of default shall not be recorded pursuant to Section 2924 unless it also includes a declaration stating that the mortgagee, trustee, or authorized agent contacted the borrower to determine if the borrower is an active duty servicemember, and if the borrower is an active duty servicemember, or was an active duty servicemember 90 days prior to the date the notice of default is to be recorded, that the mortgagee, trustee, or authorized agent has complied with the federal Servicemembers Civil Relief Act (50 U.S.C. Appen. Sec. 501 et. seq.).   SECTION 1.   It is the intent of the Legislature to enact legislation to preclude foreclosure proceedings when the borrower is an active member of the military, unless the lender has first attempted a loan modification.